I can honestly tell you. The current U.S economy is so shaky to the point I simply don’t dare to invest in any U.S. equity at this point until I see a clearer big picture.
I envision a recession starting end of 2006 to early 2007. I simply don’t see how the economy can hold up when tons and tons of people are trying to cash in with their houses at this point.
Let me tell you one interesting thing I observed. Past Saturday, me and my wife went to check out rental homes. Rental proprties mgmt company now organizing OPEN HOUSE for rental homes because the demand is so high. We visited the house at 2:00pm and there are literally more than 20 people waiting for the agent outside the house!!!
This is not the interesting part. The funny part is that there are 2 OPEN HOUSE for sell (one on the side, one across the street) and have absolutely NO ONE visit.
People already in panic. That’s for sure. Everybody want to cash in including the people who bought way before 1998 housing bubble simply because no one want to see their equity disappeared.
